Sweden's Bold Plan to Revive Cinema: New Film Fund and Tax Cuts

A film fund of 300 million kronor, reduced VAT on cinema tickets and a law on streaming fees. These are the main proposals in the film inquiry presented on Tuesday, writes the investigator Eva Bergquist on DN Debatt.

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Sweden's Bold Plan to Revive Cinema: New Film Fund and Tax Cuts
Photo: Amir Nabizadeh/TT

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Swedish film is in crisis, with a declining cinema audience and internationally low public film support.

"This makes it often difficult to secure financing for larger film projects, and it makes it difficult to retain talent and production in the country", writes Eva Bergquist.

To reverse the trend, she proposes the establishment of a new film fund under the Film Institute with a budget of 300 million kronor, financed equally by the state, cinema owners, and streaming services.

She also wants to reduce the VAT on cinema tickets, from the current 25 to 6 percent. Cinema owners are proposed to pay a special fee of 10 percent of ticket revenue, which will go towards financing the film fund.

"It distorts competition that cinema visits are taxed higher than other cultural activities, such as concerts and theater, and it makes it expensive for families with children to see films at the cinema".

A third main proposal involves introducing a new law on streaming fees for Swedish and foreign streaming services. Their contribution to the film fund is proposed to be an annual fee of 1.5 percent of the previous year's turnover in Sweden.

The report "The Audience in Focus – Reforms for a Stronger Film Industry" will be presented to Culture Minister Parisa Liljestrand (The Moderate Party) on Tuesday.

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By TTEnglish edition by Sweden Herald, adapted for local and international readers

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